• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 6 mins GREEN NEW DEAL = BLIZZARD OF LIES
  • 7 days If hydrogen is the answer, you're asking the wrong question
  • 17 hours How Far Have We Really Gotten With Alternative Energy
  • 11 days Biden's $2 trillion Plan for Insfrastructure and Jobs

Breaking News:

Oil Prices Gain 2% on Tightening Supply

EU and Turkmenistan Eye New Energy Partnerships

EU and Turkmenistan Eye New Energy Partnerships

Turkmenistan's Foreign Minister announces an…

Sudan's Civil War Sparks Oil Supply Concerns

Sudan's Civil War Sparks Oil Supply Concerns

Sudan's civil war has been…

EIA World Oil Demand Prediction Drops By 70,000 Barrels

World oil demand growth will fall by 70,000 barrels per day to 1.47 million barrels per day this year, according to a new forecast published by the U.S. Energy Information Administration.

The agency also cut its projection for 2018 oil demand growth by 10,000 bpd to 1.61 million bpd. The report also noted that oil prices averaged $46 a barrel in June - $4 lower than the month prior, marking it as the lowest average since last November.

The EIA expects natural gas’ share of U.S. total utility-scale electricity generation to fall from 34 percent last year, to 31 percent in both 2017 and 2018 due to higher prices that will render the fuel more expensive than coal.

Oil prices have entered bearish markets again as new output from Nigeria, Libya and the United States counteracts the impact of the Organization of Petroleum Exporting Countries’ (OPEC) 1.2 million-barrel production cuts, which went into effect in January.  

The Energy Information Administration (EIA) predicted last month that gasoline consumption in the U.S. during the summer months would peak at 9.5 million bpd—up 20,000 bpd from 2016, a record high year for fuel demand.

Related: The Major Wildcard That Could Send Oil To $120

Saudi Arabia will deliver full crude oil volumes to India and Southeast Asia next month, in a sign that OPEC’s largest exporter and de facto leader is clinging to its market share in the fastest oil-demand growth region amid the production cut deal.

Riyadh cut exports to the U.S. last month in an attempt to force the North American country to begin eating into its large inventories, which prevent large crude orders from international markets. The initiative ultimately failed when Iraq, OPEC’s No. 2 oil producer, began selling its heavy crude to American buyers as a substitute for Saudi Arabian grades.

By Zainab Calcuttawala for Oilprice.com

ADVERTISEMENT

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News